This Week's D.C. Deal Sheet
Editor's Note: This is the first edition of the D.C. Deal Sheet, a weekly Friday series in which Bisnow will compile the most noteworthy leases, sales, financing deals, groundbreakings, personnel moves and other news items that occur throughout the week. If you have news you would like to submit for the Deal Sheet, email it to email@example.com.
Jair Lynch reached its goal of investing $1B in "attainable housing" this week by purchasing the 320-unit Fields at Cascades apartment complex from Kettler and FCP in a joint venture with Nuveen Real Estate.
The 18.5-acre property, located in Sterling, Virginia, on the eastern end of Loudoun County, changed hands for $105.5M. The purchase preserves the affordability of the 12 garden-style apartment buildings, where Kettler will stay on as property manager.
Jonathan Greenberg, Jeff Kunitz and Mike Canori of CBRE Affordable Housing represented the sellers, and Nixon Peabody served as transaction counsel, according to a press release.
Law firm Foley & Lardner LLP renewed its lease at 3000 K St. NW in a 95K SF long-term deal with landlord Global Holdings Management Group. JLL’s Evan Behr and Mac Hall represented the building owner. The building, part of Georgetown's Washington Harbour, was acquired by Global Holdings in a $415M deal in 2018.
Tetracore has agreed to lease 93K SF at Bridge Investment Group's 77 Upper Rock building in Rockville. Ben Powell and Gwen Fraker of Cushman & Wakefield represented Bridge in the deal. The medical diagnostics company will occupy three full floors in the 235K SF building, plus some space on the building's lower level. 77 Upper Rock was formerly a traditional office building that was converted to allow for life sciences uses.
Wesley Housing acquired the Parc Square Apartments in Alexandria's Arlandria-Chirilagua neighborhood to preserve the affordability of the 66-unit, six-building property for 99 years. Amazon provided a $2.3M grant for the deal through its Housing Equity Fund; Housing Partnership Fund Inc. and Woodforest National Bank also provided a $10.26M acquisition loan for the purchase.
The Waterfront Station II development team closed on a $141M financing deal secured by Merchants Capital. The project at 1000 Fourth St. SW is a joint venture among Hoffman & Associates, nonprofit AHC Inc., City Partners and Paramount Development. The deal includes three Merchants Bank of Indiana construction loans, which will help fund development of the 449-unit, mixed-use development, expected to deliver in winter 2023.
GROUNDBREAKINGS & OPENINGS
Construction began on St. Elmo, a joint venture multifamily project from Duball LLC, Daiwa House Group and The Lenkin Co. The 22-story apartment building in Bethesda will take approximately three years to complete, the Washington Business Journal reported. HITT Contracting is serving as general contractor.
Construction began on two JBG Smith-owned sites at 2000 and 2001 South Bell St. in National Landing. The two buildings will feature 775 apartments and roughly 27K SF of retail. Balfour Beatty is serving as the general contractor, and the projects will target LEED Gold Certification.
The AC Hotel Washington DC Capitol Hill Navy Yard will open in February. The 11-story, 225-room hotel south of Garfield Park is the third AC Hotel by Marriott in the city. Concord Hospitality Enterprises, Whitman Peterson and Greystar Real Estate Investments own and manage the property, WTOP reported.
National real estate firm Stream Realty Partners hired J.J. Campbell as its new vice president of construction and development. Campbell previously worked at CCSI Construction and Blake Real Estate Inc., where he oversaw renovations of critical building systems for downtown office buildings in Washington, D.C.